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clock Created with Sketch. 30/10/17
19:18
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Originally posted by Madtrader
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If you take the traditional dividend discount valuation model there still needs to be a dividend paid at some point. If people don't believe the numbers or that a dividend will ever be paid the implied valuation under this model is zero. If those people are right then the stock isn't oversold, it is overvalued by infinity... Comes down to belief structure and these issues with disclosure and lack of regard for shareholders has presently spoken and if that is not arrested you could easily lose more. I'm not saying that's the case, but buyer beware, if it quacks like a duck and walks like a duck you might just want to check whether it is in fact a duck. It pays big time to be eyes wide open.
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this stock has been a dog alright, for those that bought in at 20 cents.
